SCM Interview Questions

List of the some interview questions, generally asked at Junior and middle level positions
1. What do you understand by Supply Chain Management
2. Explain complete supply chain cycle starting from Business Planning to Sales and including procurement(for MTO and MTS environment)
3. What is Sales and Operations Planning (S&OP) process and what are the advantages of S&OP process ?
4. Explain demand planning process you have handled or handling

5.Explain Procure to Pay to Pay cycle?
6.How do you search a supplier
7. Explain the Vendor rating process
8. What are the risks in procurement how do you minimise these risks
9. What is spend analysis and how do you use spend analysis to reduce the procurement costs and processing costs
10.What are the GL postings in procure to pay cycle
11. What are the different types of matching such as 2 way, 3 way or 4 way and why these are required?
12. Explain Sales order to billing cycle?
13. What are the GL postings during sales order to billing cycle?
14. What are different inventory Valuations?
15. What are the different Inventory analysis ? how do you do ABC, XYZ and FSN analysis?
16. What is the difference between Physical inventory and Cycle counting and which process is better ? and why?
17. What are the different types of MRP runs (i.e. Regenerative, Net Change etc).
18. Explain Consumption based planning and Demand based planning, which is better and how?
19. How do you calculate safety stock for consumption based planning ?
20. How do you plan the requirements of material which are very rarely moving and unpredictable in demand?
21. what are insurance items?
22. What is Bullwhip effect in supply Chain, how it affects the supply chain and how would you reduce it?
23. Explain Stock transfer cycles between two locations and what are the GL postings ?
24. What would be your sourcing strategy to buy low value items?
25. Explain Scrap Sales process and the GL postings during the process.
26. Explain SCOR and CFPR models
27. How would you evaluate the inventory performance ? What is Inventory Turn Over ratio and what would you recommend to increase it under a set of assumptions.
28. What is Bill Of material what information it contains?
29. What is in-transit inventory and how it is calculated, how do you monitor in-transit inventory levels?
30. What are different types of contracts ( Blanket and Fixed) in procurement, which type of contract should be used in what conditions.
31. What the normal terms and conditions in a agreement while signing it with a supplier?
32. How do you negotiate with a supplier and what could be the negotiation points during negotiation process?33. What are the GL postings in Stock revaluation and stock adjustment transactions?
34. How do you manage stock out situations?
35. What is Planning horizon and how does it impact MRP  and MPS run results ?
36. How do you fix the credit limits of the customers (Distributors, Dealers

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